Marketing Concepts and Strategies in Air Canada

This report discusses the marketing concepts, strategies, and principles used by Air Canada to increase its productivity and profitability. It covers the different marketing terminology, concepts, and principles applicable to the airline industry. The report also explores the cross-functional relationships of marketing with other departments of the company. Recommendations are provided for using marketing strategies to achieve business goals.

Marketing

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
TASK 1............................................................................................................................................1
a. Marketing concepts with terminology that are applicable to the business organisation..........1
b. Identification of marketing strategies together with programs which help the entity in
achieving objectives. ...................................................................................................................3
c. Two marketing concepts with principles used in organisational daily operational.................4
TASK 2............................................................................................................................................6
Relationships of marketing with other departments of the company (covered in Poster )........6
Recommendation ............................................................................................................................6
CONCLUSION................................................................................................................................7
REFERENCE...................................................................................................................................8

INTRODUCTION
Airline company means an organisation which provides air transportation services as
customers wants and get reach them at their place. Passengers and cargo uses aircraft such as air
planes and helicopter. . In other words, airline is an entity which offers air transport services to
passengers and increase the productivity. This is growing organisation where people works
collectively and increasing their services by using marketing activity. Every organisation needs
marketing whether airline, auto mobile, communication and retail helps to increase their
productivity and profitability (De Mooij, 2018) . Marketing is the term which is used to attract
people and encourages them to buy products and services. The needs of marketing in airline
industry is growing as there are new technology are adopted by business organisation for
customers and improve operation, so marketing will help to attracts people in order to avail
airline services. Moreover it is required for future product and market development,
infrastructure and regulatory planning and airport operators effectively where marketing will
helps to increase the number of passengers and business activities.
For this assignment, Air Canada has been chosen that is largest airline company of
Canada providing flight services to reach from one place to another. The headquarter of selected
organisation is Montreal, Quebec since 1937. This report covers different type of marketing
terminology, concept and principle of marketing which helps to increase the administration.
Apart from this cross functional relationship between marketing and other department are as
considered which increases functions.
MAIN BODY
TASK 1
a. Marketing concepts with terminology that are applicable to the business organisation
Marketing concept is the connected with all organisation which is used to inform people
about new products and services, helps to increase the business activities. This is important for
company to use different marketing concepts and philosophies in order to maintain good position
of business. Without marketing it become difficult for organisation to sell their products and
achieve targets (Morgan, Feng and Whitler, 2018). Whenever organisation is going to introduce
something it needs marketing which aware people and focus on selling the products. In context

to Air Canada, marketing manager are using different types of marketing concepts in order to
increase the production or number of passengers that are as defined:
Product strategy – The product strategy of Air Canada is to offer attractive services to
customers which are not available in other organisation(Camilleri, 2018). This is important for
organisation to produce the products as per customer choice so, they can get ready to purchase,
consume and feel good. In context to Air Canada, uses product strategy at the time of introducing
new airline services and packages which attracts people and identify the directions of
organisational working.
Branding – In changing market, people are becoming more curious about brand, image,
design, and logo which helps to identify the product easily from others. In business environment
there are different types of organisation who are selling similar products with different brands.
The aim to use brand is to build the differentiation from other brand and make buying decision.
In context to Air Canada, management are using effective brand strategy which emphasis on all
activities and fill the customer demand by providing airline services. This organisation has
changed the colour of plane from black & white to Maple Red Leaf accent and different black
belly which make easily identifiable and increase the buying process. By using branding strategy
management of such organisation develop the brand image and maintain good position (Balducci
and Marinova, 2018).
Promotional strategy – This is also important strategy in which marketing concepts and
communication are consider as promotional strategy, helps to inform the target audience. In this,
organisation promote its products and services by informing people and attracting them
effectively. Promotional plan is prepared by marketing management who analysis the market and
uses different sources to inform people (Wu and Li, 2018). In context to Air Canada, the
marketing management team are using social media, you tube, advertisement and different flight
perks in order to aware people and book the services. Moreover, it organise the loyalty
programme which helps in booking for respective flight.
All strategy are used by Air Canada in order to inform people and increase the
organisational productivity and profitability by increasing number of customers. Branding helps
to identify the product, promotional increases business sale, products strategy helps to introduce
from new airline services etc. which helps to maintain administration effectively (Dahl, Gorn and
Weinberg, 2018).

b. Identification of marketing strategies together with programs which help the entity in
achieving objectives.
Marketing strategy is consider as long term plan of business industry which helps to
introduce the products in order to sustain in business market. Without marketing activities
organisation cannot reach to its target as result low production and profitability. In other words,
this comprises value proposition, target customer, demographics and geographic areas where
organisation provides products easily and focus on improving the sales. Marketing programme
are run by management in which managers provide information about product and set the target
by using effective strategy which helps to increase the organisational profitability (Dawar and
Bendle, 2018). This is important for organisation to prepare marketing strategy and run
programme which can help to increase the organisational productivity and profitability. For
instance, Air Canada which is airline industry using effective marketing programme to compete
with rivals and get competitive advantages. In this, management has decide the suitable prices of
tickets, market research and facilitating other services which improve customer base. The
overview of marketing in context to Air Canada are as given:
Mission - “To connect Canada and the world”.
Vision - “Building loyalty by innovation and passion”.
Objectives – This organisation is having following objectives such as:
 To maximize the return on yearly basis by using effective marketing strategy.
 Improve the market share and brand image with the help of marketing.
 To increase the number of passengers through social campaign and other.
 To enhance the business activities and attain organisational goals effectively.
Overall marketing strategies – Air Canada is large size organisation that provide high
quality of airline services to people and maintain the good performance which increases profits.
The aim of Air Canada is to become world's largest airline industry by providing variety of
airline services. This organisation is using effective marketing strategy such as product,
branding and promotional strategy which helps to implement the plan and increase business
activities (Dorfman and et. al., 2018). In product strategy, management of organisation plans to
introduce flight services at reasonable price and good facility which encourage people to buy
them effectively. This helps to attain the business objective as improvement in market share and
compete with others. Same time, branding strategy uses campaign and programme which

identify the services from others and achieve goal of improving branding and becoming largest
organisation. On the other hand, management of organisation using promotional strategy which
helps to attain the business goals in ethical manner as it uses advertisement, social media, you
tube and promotional programme which maximise the return and profits consider as
accomplishment of objectives.
Ethical consideration
From the above strategy it can be understand that goals of Air Canada are attained in
ethical manner as management focused on safety and security of passengers which build trust to
enjoy such services. Management are following legal compliance and provide booking or
cancellation facility which reduces the complexities ethically. This helps to maintain the
effective relationship with customer and organisation by offering quality of service and adopting
marketing plan (Angulo-Ruiz and et. al., 2018).
c. Two marketing concepts with principles used in organisational daily operational
An activity which is used to influence people by providing information and completing
needs is considered as marketing activity. This helps to increase business performance by selling
the number of products and services . Marketing principle means total of activities which are
performing by business organisation in order to increase the sales as well as profits. In context to
Air Canada, management are using different types of marketing principles which are uses for
effective promotion of airline services (Kimmel, 2018). The Air Canada is using marketing mix
in order to perform the daily operation and maintain profits.
Marketing mix
This concept means set of tactics and actions which are used in marketing and performing
day to day operations. Marketing mix is the term which helps to increase the organisational
productivity and profitability. It supports businesses to put the products at right place within
certain period of time. This contains 7Ps of market which are as explained in context to Air
Canada that are as defined:
Product – Air Canada is operating its business activities by offering different type of
products that fulfil the desire of customers and increase the business performance (INDONESIA,
2018). This is international company that attracts the people by using different strategy in order
to increase the productivity. The products which are provided by Air Canada are categorised in
to following:

Air Canada Cargo – It offers cargo services on the basis of daily.
Air Canada Jazz – It can be consider as main brand name of products which are
providing by firm.
Air Canada Express – This offers low cost airline services by understanding needs of
people.
Price – Air Canada is focusing on mass customer base where it offers special and classic
class of services by setting the prices of products. This guarantees to people as their services are
at lower cost than others with best quality. This offers 24 hours services where people can book
tickets from online websites and make feel them good (Steinhoff and et. al., 2019). In other
words, such organisation has adopted economic pricing strategy which helps to increase the sale.
Place – This organisation is offering services in London and its headquarter at Montreal,
Quebec. This organisation is flying flights more than 180 destination across 6 continents which
helps to increase the business performance and selling activities (Hüttner, 2018).
Promotion – Air Canada is providing airline services in London where it has developed
online customer community with the help of social media and connect the customers to buy
travelling tickets from anywhere. Management are using “Hashtag campaign”, “You and I meant
to fly ” and “Hello/ Goodbye” which helps to promote its airline services.
People – In marketing principle people are consider as important assets of business
organisation which helps to complete the work in effective time period and maintain top position
of business. In Air Canada many employees are working which helps in design, final décor and
feedbacks in order to run business. Moreover, marketing team, operation team, production, HRM
, cleaning department and many more helps to operate business effectively (Zubenko and et. al.,
2018).
Physical evidence – Air Canada is having black and white with Red Maple leaf flight in
which passengers enjoys their travelling services and give feedbacks which helps to upgrade the
customer base (Arrigo, 2018).
Process – The process of Air Canada is streamlined with customer and members who are
working at their by using online websites. With the help of online website customer feel
convenient to book tickets and get cancellation facility also (Hahm and Severt, 2018).
STP: Air Canada has categorised the market in to different segmentation that are as
defined:

Segmentation – In this, management of Air Canada focused on demographic and
geographic segmentation. Management has segmented market in to income level, status,
occupation and population (ILiu and Burns, 2018). Moreover, in geographic it consider customer
location such as city, district, country and region where organisation are providing services.
Targetting - The management of Air Canada is targeting the people on the basis of age
group of people as between the 18 to 60 years where people have diverse skills and knowledge to
book tickets after understanding the routes.
Positioning – This can be consider as final step of STP process where business
organisation focuses on audience by comparing to rivals. This helps to meet with good position
of business by adopting strategies, campaigns and social media (Eckhardt and et. al., 2019).
TASK 2
Cross relationships of marketing with other departments of the company (covered in Poster )
Recommendation
From the report it has recommended that airline industry majorly uses different types of
marketing strategies which helps to accept the changes in external environment. Marketing
activity should be use by company which promotes products and services in order to increase the
sale. Branding, product and promotional strategy are effective plan, through which organisation
run day to day operation and increase the profitability. Market is divided in three segmentation
that involves segmenting, targeting and positioning which helps to increase business
performance. Therefore, organisation should use marketing strategies in order to attain the
business goals.
CONCLUSION
From the report it can be concluded that marketing activities is the set of action which are
used to attracts people and sale them products and services. Products are tangible assets where as
services are intangible which help to increase the business performance, branding is used to
identify the products from others and attracts people to select best products. Promotional strategy
involves different types of promotional sources and marketing activities which helps to increase
the organisational effectiveness.

REFERENCE
Books and Journal
De Mooij, M., 2018. Global marketing and advertising: Understanding cultural paradoxes.
SAGE Publications Limited.
Morgan, N.A., Feng, H. and Whitler, K. A., 2018. Marketing capabilities in international
marketing. Journal of International Marketing. 26(1). pp.61-95.
Camilleri, M. A., 2018. Integrated marketing communications. In Travel marketing, tourism
economics and the airline product(pp. 85-103). Springer, Cham.
Balducci, B. and Marinova, D., 2018. Unstructured data in marketing. Journal of the Academy of
Marketing Science. 46(4). pp.557-590.
Wu, Y. L. and Li, E. Y., 2018. Marketing mix, customer value, and customer loyalty in social
commerce. Internet Research.
Dahl, D. W., Gorn, G. J. and Weinberg, C. B., 2018. Marketing, safer sex, and condom
acquisition. In Social Marketing (pp. 169-185). Psychology Press.
Dawar, N. and Bendle, N., 2018. Marketing in the age of Alexa. Harvard Business Review.
96(3). pp.80-86.
Dorfman, R. G., and et. al., 2018. Plastic surgery-related hashtag utilization on instagram:
implications for education and marketing. Aesthetic surgery journal. 38(3). pp.332-338.
Angulo-Ruiz, F., and et. al., 2018. How does marketing capability impact abnormal stock
returns? The mediating role of growth. Journal of Business Research. 82. pp.19-30.
Kimmel, A. J., 2018. Psychological foundations of marketing: the keys to consumer behavior.
Routledge.
INDONESIA, M. P. I., 2018. Competitive advantage and product innovation: Key success of
Batik SMEs marketing performance in Indonesia. Academy of Strategic Management
Journal. 17(2).
Steinhoff, L., and et. al., 2019. Online relationship marketing. Journal of the Academy of
Marketing Science. 47(3). pp.369-393.
Hüttner, M., 2018. Marketing-Management: allgemein-sektoral-international. Walter de Gruyter
GmbH & Co KG.
Hahm, J. J. and Severt, K., 2018. Importance of destination marketing on image and familiarity.
Journal of Hospitality and Tourism Insights.

Liu, X. and Burns, A. C., 2018. Designing a marketing analytics course for the digital
age. Marketing Education Review. 28(1). pp.28-40.
Arrigo, E., 2018. Social media marketing in luxury brands. Management Research Review.
Zubenko, G. S., and et. al., 2018. On the marketing and use of pharmacogenetic tests for
psychiatric treatment. JAMA psychiatry. 75(8). pp.769-770.
Eckhardt, G. M., and et. al., 2019. Marketing in the sharing economy. Journal of Marketing.
83(5). pp.5-27.
(De Mooij, 2018)(Morgan, Feng and Whitler, 2018)(Camilleri, 2018)(Balducci and Marinova,
2018)(Wu and Li, 2018)(Dahl, Gorn and Weinberg, 2018)(Dawar and Bendle, 2018)
(Dorfman and et. al., 2018)(Angulo-Ruiz and et. al., 2018)(Kimmel, 2018)
(INDONESIA, 2018)(Steinhoff and et. al., 2019)(Hüttner, 2018)(Hahm and Severt,
2018)(ILiu and Burns, 2018)(Arrigo, 2018)(Zubenko and et. al., 2018)(Eckhardt and et.
al., 2019)